WELL, WELL WELL! It seems that (gasp) cryptocurrencies are very much like ANY other market (equities, binds, oil, etc.) in that demand makes things go up. I know, I know. Very novel, right? "FOMO" (fear of missing out.....very cool) is driving the cryptos up for sure, BUT isn't that the case with every market? Obviously the more bitcoin gets talked about it automatically becomes more accredited and mainstream and in demand. Wealth managers, hedge funds, investment funds and even central banks all want in. Those worried about a "bubble" (aka overused word) should ask how much have equity markets gone up over the past 5-10 years? How many folks thought Amazon was over priced at the offering? So, "FOMA"? At least put your toe in the pool. Super great read.
(Bill Taylor/CEO)
"Bitcoin’s spectacular rise this year is diving investors’ fear of missing out, or “fomo,” and it’s forcing Wall Street to pay attention to cryptocurrencies as well, the Financial Times writes.
Five-fold Rise Doesn't Quell Investors' Thirst
Advisors have been telling their clients to stay away from bitcoin, calling it a bubble, but investors now feel like they may have already missed out on a golden opportunity, Ami Ben David, co-founder of venture capital fund Spice, tells the publication. Bitcoin’s value rose from around $1,000 in January to over $5,500, the Financial Times writes.
But the interest persists, and one private baker based in Lodon tells the publication that his ultra-high net worth clients are considering investing in bitcoin. And the company will have to figure out a way to satisfy that demand even though it prefers that clients avoid the product, the banker tells the Financial Times.
Bitcoin is now the most crowded trade in the world, according to a Bank of America Merrill Lynch survey of 200 fund managers around the world cited by the Financial Times. At least 68 hedge funds invest in cryptocurrency in some way, according to Autonomous NEXT research cited by the publication..."
Full Story at TheWealthAdvisor